The evolution of the CFO organization to support change
The common thread across these industry developments is the need for decision support. From strategic investment choices to tactical profitability decisions, finance is being asked to step up with new or renewed services to support decision-making with faster, more frequent insights incorporating new data sources, scenario models, and visualizations, all while reducing the cost of finance.
To meet this demand, CFOs are transforming the finance function across the entire operating model. This involves:
- Streamlining reporting and analytics. From standardizing KPIs and performance measures, rationalizing financial reports, and integrating nonfinancial information to automating and accelerating forecasts, finance functions are enhancing data, tools, and analytics capabilities to satisfy the demand for business intelligence and insight from across agencies
- Simplifying processes and rationalizing systems. To improve interoperability between agencies and individual markets and increase the ease of doing business for clients, agencies are pushing to standardize more finance processes – from opportunity identification all the way through billing and accounting processes. To enable this standardization and reduce costs, they are looking to rationalize finance systems, including implementing orchestration and automation tools. This often avoids the need for costly and time-consuming ERP replacements
- Delivering data and analytics to support faster, local decisions. Finance leaders are creating a consistent, integrated view across the organization (and across ERPs) by implementing a single data model to support reports, analytics, and visualizations that improve margins through pricing and profitability enhancements
- Implementing new capabilities and operating models. The breadth of capabilities now required to meet business needs requires finance to adopt new operating models, including centers of excellence in data, analytics, and technology. Global business services and business process outsourcing organizations have now moved well beyond transaction processing and are being used as capability, integration, and innovation centers to make these capabilities available across the business